Plans to simplify regulatory framework for FPIs

PTI New Delhi

Markets regulator Sebi plans to simplify the offer document preparation process by introducing a template-based approach for relevant sections as it aims to reduce repetitive information and streamline disclosures.

Also, Sebi intends to rationalise and optimise existing regulations, simplify the regulatory framework for foreign portfolio investors (FPIs), and expand the range of permissible investment strategies under Specialised Investment Funds (SIFs), according to its annual report for 2024-25, released on Tuesday. Currently, SIFs allow asset management companies to offer a limited set of strategies across equity, debt, and hybrid categories.

SIF has been introduced to bridge the gap between mutual funds and portfolio management services (PMS) in terms of portfolio flexibility. Under the framework, investors are required to invest at least Rs 10 lakh across all SIF strategies. In its annual report, Sebi said that offer documents are often large, complex, and repetitive, making them challenging to prepare. Sebi doubles broker inspections in FY25

Sebi has significantly ramped up its surveillance and enforcement efforts in FY25, carrying out 312 inspections of stock brokers, more than double the 146 conducted in FY25. Also, oversight of other market intermediaries also rose sharply, with inspections of investment advisers surging to 207 from 21 and research analysts jumping to 149 from just 15 in FY24, according to Sebi's annual report for 2024-25 released on Tuesday.